29th Apr 2005 17:11
Telefonica SA29 April 2005 NOTICE OF SIGNIFICANT EVENT In compliance with article 82 of Spanish Securities Market Law 24/1988, andrelated provisions, and in order to make it public as the notification of aSignificant Event, Telefonica, S.A. hereby informs that its subsidiaryTelefonica Moviles, S.A., has presented in the Fourth Investors Conference, heldin Barcelona on April the 25th and 26th, its business strategy and perspectives.The information provided contains estimates for the principal financialmagnitudes for the period 2004-2008. These estimates are the following: TELEFONICA MOVILES GROUP Reported 2004 under IFRS CAGR(*) 2004-2008 (• in Millions) (%) Revenues 11,743.7 12% - 16% Operating Income before D&A 4,577.7 14% - 17% Operating Income 3,054.7 15% - 19% (*) CAGR stands for Compounded Annual Growth Rate. The managed customer Base is estimated to reach over 125 million in 2008,compared to the 74.4 million reported in 2004. Also the Operating Cash Flow forthe year 2008 is expected to double the Operating Cash Flow obtained in year2004 (2,960 MM •). The cumulative Operating Income before D&A for the period 2004-2008 is estimatedto be over 32,500 MM •, with a cumulative CAPEX for the same period below 9,500MM •, leading to a cumulative Operating Cash Flow for the same period over23,000 MM •. All projections refer to local currency, that is assuming constant exchangerates as of 2004, and exclude changes in consolidation, except the acquisitionof BellSouth Chile and BellSouth Argentina in 2005. In terms of guidance calculation, Operating Income before D&A and OperatingIncome exclude other exceptional revenues/expenses not foreseeable in 2005-2008.These exceptionals amounted to 102.2 MM • in 2004 and are therefore alsoexcluded, meaning a calculation base for guidance of 4,677.9 MM • for OperatingIncome before D&A and 3,154.9 MM • for Operating Income, respectively. PersonnelRestructuring and Real Estate Programs are included as operating revenues/expenses. For a more detailed information regarding the Investors presentation, the fulltext of the Presentation is accessible through the web page of the company(www.telefonica.es). This document contains statements that constitute forward looking statements ofthe Telefonica Moviles, S.A. or its management, including statements regardingthe intent, belief or current expectations of the customer base, estimatesregarding future growth in the different business lines and the global business,market share, financial results and other aspects of the activity and situationrelating to the Telefonica Moviles, S.A.. Such forward looking statements are not guarantees of future performance andinvolve risks and uncertainties and actual results may differ materially fromthose in the forward looking statements as a result of various factors. Analysts and investors are cautioned not to place undue reliance on thoseforward looking statements which speak only as of the date of thiscommunication. Neither Telefonica, S.A.nor Telefonica Moviles, S.A. undertake noobligation to release publicly the results of any revisions to these forwardlooking statements which may be made to reflect events and circumstances afterthe date of this communication including without limitation changes inTelefonica Moviles S.A.'s business or acquisition strategy or to reflect theoccurrence of unanticipated events. Analysts and investors are encouraged toconsult the prospectus of both, Telefonica, S.A. and Telefonica Moviles, S.A. aswell as periodic filings made with the relevant financial regulatoryauthorities. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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